Friday, May 9, 2014

Billion Dollar Lawsuits for Air Freight Carriers in Cargo Shipping Cartel

Yes, the Tawdry Tales Go On and On and.......
Shipping News Feature

US – The long, on-going multi-district class action lawsuit against air cargo carriers shows no sign of stopping as China Airlines has agreed to pay $90 million, plus an extra $200,000 for administration costs, to settle claims confirming that it was part of a global cartel which inflated charges of air freight shipping services. If approved by the New York court, the plaintiffs would have recovered in excess of $835 million in settlements to date, to compensate victims of the global anti-trust case.

This year has already seen a fair amount of carriers settle, without (Heaven forfend) admitting to any wrongdoing, including Korean Air, Singapore Air and Cathay Pacific. In separate criminal probes, 21 air cargo carriers have pleaded guilty to participation in the conspiracy and agreed to criminal fines in excess of $1.8 billion. The plaintiffs’ case against the remaining defendants continues.

To see the shabby reputation which some companies in the logistics industry have incurred for the trade simply enter cartel into the News Search box at the top of the page. Whether in certain cases what was often formerly regarded as normal commercial practice has now been deemed corruption is a correct judgement must be left to the reader.